9th August 2010

Contractors advice: Working outside of a written contract "very dangerous"

Signing a contract is crucial before starting work on a project It is not advisable to begin work on a project without a written contract for the job, an expert has claimed.

Contractors who want to avoid falling foul of IR35 legislation should ensure they do not sign a contract that presents these issues, but they should be aware of the risks of working without any formal written contract at all, an expert has claimed.

David Buckle, head of employment at Cubism Law, told ContractorsUK that it is risky simply to rely on terms of one''s monthly invoice rather than waiting for a corrected contract to be supplied as it does not present the contractor with much protection.

He said: "Operating without a written contract means the terms of your relationship may not be clear. If anything goes wrong, you will be exposed."

While he acknowledges that it is legal to do so, he said that it can be a "very dangerous leap of faith" to make, even with an organisation who one has worked closely with in the past.

This may not remain a problem for much longer, as earlier this month the PCG''s head of public affairs, Simon McVicker, claimed that the coalition government is in a unique position to tackle the problems presented by IR35 legislation once and for all.ADNFCR-3595-ID-800018351-ADNFCR

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